Use the NPV method to determine whether Stenback Products should invest in the following projects: . Project A costs $285,000 and offers seven annual net cash inflows of $60,000. Stenback Products requires an annual return of 16% on projects like A Project B costs $395,000 and offers ten annual net cash inflows of $73,000. Stenback Products demands an annual return of 12% on investments of this nature. (Click the icon to view the present value annuity table.) (Click the icon to view the present value table.) (Click the icon to view the future value annuity table.) (Click the loon to view the future value table.) Requirement What is the NPV of each project? What is the maximum acceptable price to pay for each project? Calculate the NPV of each project. (Round your answers to the nearest whole dollar. Use parentheses or a minus sign for negative net present values.) The NPV of Project A is Reference Present Value of Annuity of $1 Periods 1% 2% 3% 16% 18% 20% 4% 5% 0.980 0.971 0.962 0.952 Period 1 0.990 0.877 0.862 0.847 0.833 Period 2 1.970 1.942 1.913 1.886 1.528 6% 8% 10% 12% 14% 0.943 0.926 0.909 0.893 1.859 1.833 1.783 1.736 1.690 1.647 1.605 1.566 2.723 2.673 2.577 2.487 2.402 2.322 2.246 3.717 3.630 3.546 3.465 3.312 3.170 3.037 2.914 2.798 4.580 4.452 4.329 4.212 3.993 3.791 3.605 3.433 3.274 Period 3 2.941 2.884 2.829 2.775 2.174 2.106 Period 4 3.902 3.808 2.690 2.589 Period 5 4.853 4.713 3.127 2.991 Period 6 5.795 5.601 3.889 3.685 3.498 3.326 Period 7 6.728 6.472 4.288 4.039 3.812 3.605 Period 8 4.639 4.344 4.078 3.837 Period 9 4.031 4.946 4.607 4.303 5.216 4.833 4.494 Period 10 4.192 5.417 5.242 5.076 4.917 4.623 4.355 4.111 6.230 6.002 5.786 5.582 5.206 4.868 4.564 7.652 7.325 7.020 6.733 6.463 6.210 5.747 5.335 4.968 8.566 8.162 7.786 7.435 7.108 6.802 6.247 5.759 5.328 9.471 8.983 8.530 8.111 7.722 7.360 6.710 6.145 5.650 10.368 9.787 9.253 8.760 8.306 7.887 7.139 Period 12 11.255 10.575 9.954 9.385 8.863 8.384 7.536 Period 13 12.134 11.348 10.635 9.986 9.394 8.853 7.904 7.103 6.424 5.842 5.342 4.910 Period 14 13.004 12.106 11.296 10.563 9.899 9.295 8.244 7.367 6.628 6.002 5.468 Period 15 13.865 12.849 11.938 11.118 10.380 9.712 8.559 7.606 6.811 Period 11 4.327 6.495 5.938 5.453 5.029 4.656 6.814 6.194 5.660 5.197 4.793 4.439 4.533 5.008 4.611 6.142 5.575 5.092 4.675 Reference Periods Future Value of Annuity of $1 1% 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% 18% 20% Period 1 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 2.080 2.100 2.120 Period 2 2.010 2.020 2.030 2.040 2.050 2.060 2.140 2.160 2.180 2.200 Period 3 3.030 3.060 3.091 3.122 3.153 3.184 3.440 3.506 3.572 3.640 Period 4 4.060 4.122 4.779 4.921 5.066 5.215 3.246 3.310 3.374 4.506 4.641 5.867 6.105 4.184 4.246 5.101 5.204 5.309 5.416 5.368 4.310 4.375 5.637 Period 5 5.526 6.610 6.877 7.154 7.442 6.353 8.115 8.536 Period 6 6.152 6.308 6.468 6.633 6.802 6.975 8.977 9.442 9.930 7.336 7.716 9.487 Period 7. 7.214 7.434 7.662 7.898 8.142 8.394 8.923 10,089 10.730 11.414 12.142 12.916 Period 8 8.286 8.583 8.892 9.214 9.549 9.897 10.637 11.436 12.300 13.233 14.240 15.327 16.499 Period 9 9.755 10.159 10.583 17.519 19.086 20.799 9.369 11.027 11.491 12.488 13.579 14.776 16.085 Period 10 10.462 10.950 11.464 12.006 12.578 13.181 14.487 15.937 17.549 19.337 21.321 23.521 25.959 25.733 28.755 32.150. 39.581 Period 11. Period 12 Period 13 Period 14 Period 15 11.567 12.169 12.808 13.486 14.207 14.972 16.645 18.531 20.655 23.045 12.683 13.412 14.192 15.026 15.917 16.870 18.977 21.384 24.133 27.271 13.809 14.680 15.618 16.627 17.713 18.882 21.495 24.523 28.029 32.089 14.947 15.974 17.086 18.292 19.599 21.015 24.215 27.975 32.393 37.581 16.097 17.293 18.599 20.024 21.579 23.276 27.152 31.772 37.280 43.842 51.660 60.965 72.035 30.850 34.931 36.786 42.219 43.672 50.818 48.497 59.196 Reference Present Value of $1 Periods 1% 2% 3% 4% 5% 6% 8% 10% 12% 14% 16% 18% 20% Period 1 0.990 0.980 0.971 0.962 0.952 0.943 0.926 0.909 0.893 0.877 0.862 0.847 0.833 Period 2 0.980 0.961 0.943 0.925 0.907 0.890 0.857 0.826 0.797 0.769 0.743 0.718 0.694 Period 3 0.971 0.942 0.915 0.889 0.864 0.840 0.794 0.751 0.712 0.675 0.641 0.609 0.579 0.482 0.735 0.683 0.636 0.592 0.552 0.516 Period 4 0.961 0.924 0.888 0.855 0.823 0.792 Period 5 0.951 0.906 0.863 0.822 0.784 0.747 0.681 0.621 0.567 0.519 0.476 0.437 0.402 Period 6 0.942 0.888 0.837 0.790 0.746 0.705 0.630 0.564 0.507 0.410 0.370 0.335 0.456 0.400 0.354 0.314 0.279 Period 7 0.933 0.871 0.813 0.760 0.711 0.665 0.583 0.513 0.452 Period 8 0.923 0.853 0.731 0.677 0.627 0.540 0.467 0.404 Period 9 0.914 0.789 0.837 0.766 0.703 0.645 0.592 0.905 0.820 0.744 0.676 0.614 0.558 Period 10 Period 11 0.896 0.804 0.722 0.650 0.351 0.305 0.266 0.233 0.500 0.424 0.361 0.308 0.263 0.225 0.194 0.463 0.386 0.322 0.270 0.227 0.191 0.162 0.585 0.527 0.429 0.350 0.287 0.237 0.195 0.162 0.135 0.557 0.497 0.397 0.319 0.257 0.208 0.168 0.137 0.112 0.368 0.290 0.229 0.182 0.145 0.116 0.093 0.340 0.263 0.205 0.160 0.125 0.099 0.078 0.315 0.239 0.183 0.140 0.108 0.084 0.065 Period 12 0.887 0.788 0.701 0.625 Period 13 0.879 0.773 0.681 0.601 0.530 0.469 Period 14 0.870 0.758 0.661 0.577 0.505 0.442 0.481 0.417 Period 15 0.861 0.743 0.642 0.555 1 K Reference Periods Period 1 Period 2 Period 3 Period 4 Period 5 Period 6 Period 7 Period 8 Period 9 Period 10 Period 11 Period 12 Period 13 Period 14 Period 15 Future Value of $1 1% 2% 3% 4% 5% 6% 8% 12% 14% 16% 18% 20% 1.010 1.020 1.160 1.180 1.200 1.346 1.392 1.440 1.030 1.040 1.050 1.060 1.080 1.040 1.061 1.082 1.103 1.124 1.166 1.125 1.158 1.191 1.260 1.170 1.216 1.262 1.360 1.217 1.276 1.338 1.469 10% 1.100 1.120 1.140 1.210 1.254 1.300 1.331 1.405 1.482 1.464 1.574 1.689 1.925 1.561 1.020 1.030 1.061 1.093 1.041 1.051 1.643 1.728 1.082 1.126 1.811 1.939 2.074 1.104 1.159 2.100 2.288 2.488 1.062 1.126 1.194 1.265 1.340 2.436 2.700 2.986 1.072 2.826 3.185 3.583 4.300 5.160 1.611 1.762 1.419 1.587 1.772 1.974 2.195 1.149 1.230 1.316 1.407 1.504 1.714 1.949 2.211 2.502 1.083 1.172 1.267 1.369 1.477 1.594 1.851 2.144 2.476 2.853 3.278 3.759 1.094 1.195 1.305 1.423 1.551 1.689 1.999 2.358 2.773 3.252 3.803 4.435 1.105 1.219 1.344 1.480 1.629 1.791 2.159 2.594 3.106 3.707 4.411 5.234 1.384 1.539 1.710 1.898 2.332 2.853 1.426 1.601 1.796 2.012 2.518 3.138 1.469 1.665 1.886 2.133 2.720 3.452 4.363 5.492 6.886 8.599 1.513 1.732 1.980 2.261 2.937 3.797 4.887 6.261 7.988 10.147 12.839 1.558 1.801 2.079 2.397 3.172 4.177 5.474 7.138 9.266 11.974 15.407 6.192 7.430 1.116 1.243 1.127 1.268 3.479 4.226 5.117 6.176 3.896 4.818 5.936 7.288 8.916 1.138 1.294 10.699 1.149 1.319 1.161 1.346